Patriot Capital III

Patriot Capital has extensive experience investing equity and debt capital into high growth companies. The following companies represent Patriot Capital III’s current Investment Portfolio:

Structural and Steel Products

2nd Quarter 2017 Fort Worth, Texas

Patriot Capital has made an investment in Structural and Steel Products (“SSP” or the “Company”).  Patriot’s investment supported the acquisition of SSP by an affiliate of Highland Capital Management in partnership with the Company’s senior management team.

Structural and Steel Products, founded in 1969, is a major distributor and manufacturer of highway infrastructure and manufactured transportation and communication products. Headquartered in Fort Worth, Texas, SSP manufactures and distributes products used in the highway construction end-market, including overhead sign structures, guardrails, lighting poles, high mast poles, and bridge decking. In addition, the Company manufactures tubular structures used primarily in the communication and power transmission industries.

AFS All-American Holdings LLC (“Savannah”)

2nd Quarter 2017 Savannah, Tennessee

Patriot Capital has made an investment in AFS All-American Holdings LLC. AFS All-American Holdings is the holding company for two operating companies which do business as Savannah and Architectural Arts (collectively, the “Company”). Headquartered in Savannah, TN, Savannah has been a portfolio company of All-American Holdings and a platform for acquisitions of full-service fabricators of custom-made millwork, stone, and metal. Patriot’s investment, alongside senior debt from The PrivateBank, recapitalized Savannah and supported the acquisition of Architectural Arts, Inc., an Iowa-based provider of custom millwork, allowing the Company to expand its capabilities and geographic reach.

Savannah was established in 1991 as a food service millwork supplier. The Company was acquired by All-American Holdings from Standex International (NYSE: SXI) in 2014. Savannah’s solutions include custom millwork, stainless steel fabrication, and stone products which are used in a variety of end-markets including foodservice, education, and hospitality. The Architectural Arts acquisition broadens the Company’s product portfolio into high-end, specialized millwork. The acquisition also expands the Company’s customer base into the Midwest and further into end markets such as corporate offices, universities, and hospitals. Savannah is actively seeking complementary acquisitions in the Southeastern and Central United States.

GT Technologies, Inc.

1st Quarter 2017 Westland, Michigan

Patriot Capital has invested subordinated debt and equity in GT Technologies, Inc. (“GT” or the “Company”).  Patriot’s investment, alongside senior debt from Bank of America, supported Industrial Opportunity Partners’ acquisition of GT in partnership with the Company’s current management team.

GT Technologies, founded in 1905, is an international supplier of custom-engineered gasoline and diesel engine valve train actuation components and assemblies to the global automotive, heavy duty truck and off-road vehicle industries. The Company’s products include rollers, roller finger followers (RFFs), hydraulic lash adjusters (HLAs), stamped rocker arms, roller tappets, and valve train actuation assemblies. The Company is headquartered in Westland, Michigan, with manufacturing and assembly operations in Toledo and Defiance, Ohio, Tallahassee, Florida and Curitiba, Brazil, and a prototype center in Millbury, Ohio.

Dedicated Computing, LLC

4th Quarter 2016 Waukesha, WI

Patriot Capital has invested subordinated debt and equity in support of McNally Capital’s acquisition of Dedicated Computing, LLC.

Dedicated Computing is a Waukesha, WI based original design manufacturer (ODM) of proprietary, highly-engineered computing systems for blue-chip OEM customers in Healthcare & Life Sciences, Training & Simulation and Industrial markets.  Dedicated Computing’s systems are integrated hardware & software platforms that are optimized to meet the specific computational and performance needs of OEM applications.

Patriot’s investment aims to enable the Company’s mission of “Powering the World’s Most Important Devices”.

Universal Aerospace Co., Inc.

4th Quarter 2016 Arlington, WA

Patriot Capital has invested subordinated debt and equity for the support of Strength Capital’s acquisition of Universal Aerospace Co., Inc. (“Universal”).  Universal is a value-added manufacturer of metallic components, fabrications, and assemblies for the commercial aerospace industry.

Located in Arlington, WA, Universal was founded in 1990 as a machine shop but has grown over the years to become a vertically integrated business with a broad set of capabilities.  The Company’s production capabilities include sheet metal cutting, bending, stamping and forming, machining, welding, and assembly.  The Company also has its own captive metal finishing operations. In addition to several actionable organic growth opportunities, the Universal opportunity fits well with Strength Capital’s buy and build acquisition strategy. This is the second investment that Patriot has made alongside Strength Capital.

Union Corrugating Company

4th Quarter 2016 Fayetteville, NC

Patriot Capital has invested subordinated debt and equity in Union Corrugating Company (“Union” or the “Company”). Patriot’s investment, alongside senior debt from PNC Business Credit, supported Industrial Opportunity Partners’ acquisition of Union in partnership with the Company’s current management team.

Union, headquartered in Fayetteville, NC, is a manufacturer and distributor of metal roofing systems and roofing components. The Company is a leading supplier to the residential, agricultural, and commercial roofing end markets. From 11 production facilities throughout the United States, Union serves more than 1,200 commercial customers, including home centers, lumber retailers, wholesalers, and contractors.

Advantage Engineers, LLC

4th Quarter 2016 Mechanicsburg, PA

Patriot has invested subordinated debt and equity in Advantage Engineers, LLC (“Advantage”), alongside management and First Capital Partners.

Founded in 2001 and based in Mechanicsburg, Pennsylvania, Advantage provides specialized telecommunications, environmental and geotechnical engineering and consulting services for various end markets.  Services offered include, but are not limited to, telecom site acquisition and engineering, laboratory and material testing, design and construction phase investigations and site assessments. Led by the Company’s CEO, Ed Balsavage, and COO, John McGrath, the firm is comprised of high-caliber technical professionals including engineers, geologists, scientists, construction managers, site acquisition specialists and technicians.

In conjunction with the transaction, the senior executive team at Advantage was seeking a capital partner to support its continued and accelerated growth both through acquisition as well as through de novo office and new market development. Attractive acquisition opportunities include those that would broaden Advantage’s service offering, to both existing and new customers.

Carson-Dellosa Publishing, LLC

3rd Quarter 2016 Greensboro, North Carolina

Patriot has invested subordinated debt and equity in support of Guardian Capital Partners’ acquisition of Carson-Dellosa Publishing, LLC (“Carson-Dellosa”). Guardian partnered with the executive management team who will continue operating the Company going forward.

Headquartered in Greensboro, NC, Carson-Dellosa is a leading provider of K-8 supplemental education content for parents, teachers and students with an established portfolio of market-leading brands including Spectrum, Summer Bridge, Carson-Dellosa Education and others. The Company’s products are recognized for its high quality content and comprehensive educational materials. With over 35 years of experience in the consumer educational products market, the Company offers digital and print workbooks, test-prep, hands-on learning materials and classroom décor and resources to solve critical needs for parents and teachers across students’ education. Carson-Dellosa’s products are used in over 1,000 schools and can be purchased at over 10,000 retail locations in addition to its direct-to-consumer e-commerce platform.

Al Greco, CEO of Carson-Dellosa said, “Carson-Dellosa puts the highest quality products in the hands of teachers and parents for a child’s educational journey. The education market is dynamic and growing, and our Company is well positioned to take advantage of these changes.”

Terracare Associates

2nd Quarter 2016 Littleton, Colorado

Patriot is pleased to announce its recent investment in Terracare Associates. In this transaction, Patriot provided subordinated debt to support the acquisition of Landscape Management Solutions, Inc (LMS) and Tierra Verde Resources, Inc. (TVRI). The LMS acquisition will broaden Terracare’s footprint in the Bay area, while the TVRI acquisition will supplement Terracare’s growing presence in the San Diego region. These acquisitions represent the third and fourth acquisitions the Terracare platform has made, and establish the combined entities as one of the largest enhancement and infrastructure maintenance providers on the west coast.

Terracare Associates is a leading provider of infrastructure outsourcing and landscape maintenance services to municipal, commercial, industrial and institutional customers. During all seasons, certified and experienced staff improves landscapes, parks, roadways, and infrastructure for safe and sustainable outdoor environments. Terracare serves customers in California, Colorado, Utah and Texas. The Company maintains long-term contractual relationships with over 600 municipalities, property owners, property managers and public agencies for landscape maintenance services.

Metro Boiler Tube Company

2nd Quarter 2016 Ringgold, Georgia

Patriot Capital is pleased to announce its recent financing of Metro Boiler Tube Company, Inc. (“Metro”). With this investment, Patriot provided mezzanine financing and preferred equity to support a recapitalization of the business by Metro’s senior management team. Metro’s senior leaders each have long tenures with the company, during which they have developed deep customer relationships and operational expertise. Patriot is excited to partner with the Metro management team to support the continued growth of the business.

Established in 1989, Metro offers a full spectrum of boiler tube fabrication, cutting, and distribution, which includes press bending, welding, painting, polishing, and testing. Metro’s tubing serves a diverse group of industries in the power and industrial sectors, including utilities, pulp and paper, petrochemical, and sugar. The company has its headquarters and main operations in Ringgold, GA and also operates a facility in Gonzalez, LA.

Avenger Flight Group

2nd Quarter 2016 Fort Lauderdale, Florida
Patriot Capital completed an investment in Avenger Flight Group. Patriot partnered with Seacoast Capital and Avenger’s management team to provide growth capital. The investment will allow the company to expand its services and geographic reach.
Avenger Flight Group is a provider of commercial aviation simulation and training. Avenger provides simulation training to domestic and international airlines using state of the art simulators located in strategically convenient locations in Ft. Lauderdale, Las Vegas, Mexico City and now Dallas, Texas. Avenger also provides classroom training for trainers and pilots. The company is led by an experienced management focused on meeting specific customer requirements in an environment dedicated to exceeding and surpassing all expectations.

Airco, Inc.

4th Quarter 2015

Patriot is pleased to announce its recent investment in Airco, Inc., a portfolio company of Azalea Capital. In this transaction,  Patriot provided subordinated debt to support the continued growth of the Airco platform.

Airco Inc., based in Savannah, Georgia, is a performance-driven provider of a broad range of plant maintenance and repair services to Power Plants and Industrial manufacturers.  Airco operates in three verticals, Industrial Services, Power Services, and Welding Services, each led by industry-experienced senior managers.  The Company’s customers include world-class Utilities, power equipment OEMs, and multi-national industrial manufacturers.

D&S Community Services

4th Quarter 2015 Austin, Texas
Patriot Capital is pleased to announce its recent financing of D&S Community Services (“D&S”), a portfolio company of Comvest Partners (“Comvest”). With this investment, Patriot provided mezzanine financing to support Comvest’s acquisition of the company. Patriot originally invested in D&S in 2005 and is excited to support Comvest and management in the continued growth of the business.

D&S Community Services, headquartered in Austin, Texas, is a leading provider of residential and community-based services to individuals with intellectual and developmental disabilities in Texas, Tennessee, and Kentucky. Through a broad range of services – from residential and in-home support to day habilitation programs and vocational training – D&S seeks to empower individuals with intellectual and developmental disabilities to realize a life of independence and self-determination.   

Circa Corporation

4th Quarter 2015 San Francisco, California

Patriot Capital has invested in Circa Corporation, a portfolio company of Harren Equity Partners. Patriot Capital partnered with Harren Equity and management to complete a recapitalization of the company.

Circa Corporation is the leading designer and manufacturer of men’s and women’s private label belts, servicing premier national chain, specialty retail, and department store customers nationwide. Founded in 1967 and headquartered in San Francisco, California, Circa is differentiated by the combination of unmatched internal design expertise with advanced domestic and Asian manufacturing capabilities. The marriage of these two traits has enabled the Company to create entrenched relationships with numerous customers that extend back decades.

Super Color Digital

3rd Quarter 2015 Irvine, California

Patriot Capital has provided financing, alongside Graycliff Partners, to Super Color Digital, a turnkey provider of grand-format graphics, event structures and visual solutions for Fortune 500 corporations and trade show managers. 

Super Color Digital manages the complex job of creating, designing, formatting, producing and shipping graphics and offers complete in-house design, metal fabrication and assembly capabilities. The company is headquartered in Irvine, California with additional facilities in Las Vegas, Nevada, Orlando, Florida and Dallas, Texas.

Aztec/Shaffer, LLC

3rd Quarter 2015 Houston, Texas

Patriot Capital is pleased to announce a subordinated debt investment in Aztec/Shaffer, LLC, a portfolio company of Milestone Venture Group, LLC.  Aztec/Shaffer is a party and event equipment rental company with two distinct segments: Aztec Events & Tents and Shaffer Sports & Events.

Aztec Events & Tents (“Aztec”) supplies event rental items to corporate and private clients in the greater Houston area. Aztec prides itself on being a one stop shop for all of its customers’ event needs.

Shaffer Sports & Events (“Shaffer”) provides rental equipment to PGA Tour and Champions Tour events under an exclusive contract. The structures that Shaffer delivers and assembles have been helping golf fans nationwide enjoy tour events since the early 2000’s.

 

Premium Inspection and Testing

2nd Quarter 2015 Houston, Texas

Patriot Capital is invested in Premium Inspection and Testing (“Premium”), a Calvert Street Capital Partners (“CSCP”) portfolio company.  On May 5, 2015, Premium acquired Quad City Testing Laboratory and Quad City Calibration (collectively, “QCTL”); Patriot provided subordinated debt and equity in support of the acquisition.

The acquisition of QCTL allows Premium, to offer a broader range of services to its customers as well as expand its presence into other geographies and end markets.  Premium is led by a world-class Board and management team including Jim Treat and Mike Cooper, two industry veterans who have successfully built and sold large inspection companies throughout their careers.

Premium, through its operating subsidiaries, Permian NDT and Quad City, provides nondestructive testing (“NDT”) and inspection services to a wide variety of safety critical industries.  In addition to NDT services, Premium provides inspection, training, and calibration services both on-site and in-house from its various operating locations in Gardendale, Borger and Longview, TX, Carlsbad, NM, Davenport, Iowa, Chicago, IL and its Headquarters in Houston, TX.

The transaction represents Patriot’s second investment alongside CSCP, as the two funds had previously invested in IOS Holdings, Inc.  Brian Guerin of CSCP noted, “Patriot was a wonderful partner in our IOS strategy and we are excited to be working with them again on Premium.”

McClarin Plastics, LLC

1st Quarter 2015 Hanover, PA

Patriot Capital made a subordinated debt and equity investment in support of Blackford Capital’s merger of its existing portfolio company, Amtech Corporation, with McClarin Plastics, Inc.

Amtech Corporation, based in Wapato, WA, was acquired as a portfolio company of Blackford Capital in 2008. The company designs and manufactures custom molded fiberglass and vacuum formed products primarily for the transportation, construction and military end markets.

McClarin Plastics, founded in 1953 and based in Hanover, PA, is a manufacturer of thermoformed and fiberglass reinforced plastic components for the transportation and construction end markets. The combined business, now known as McClarin Plastics, LLC, results in a national operating platform with a stronger technical knowledge of the composites industry and engineering know-how, as well as a larger share of their overall end markets with a diversified customer portfolio.

Arch Global Precision, LLC

4th Quarter 2014

Patriot Capital supported Arch Global’s acquisition of a cutting tools business, JASCO, which is complementary to the existing cutting tool segment currently operated by Arch.  Arch Global Precision, LLC is a manufacturer of two distinct business lines; machined components and cutting tools.  The primary end market is the automotive industry.  Arch’s products also serve customers in the industrial, healthcare and aerospace end markets.

Metaltec Steel Abrasive Co.

4th Quarter 2014

Patriot is pleased to announce a subordinated debt and equity investment in Metaltec Steel Abrasive Co.  Patriot’s investment supported Corinthian Capital’s acquisition of Metaltec.

Metaltec is based in Canton, Michigan and produces cast steel abrasive products, including steel shot and steel grit, along with several niche materials that are produced as a byproduct of the grit and shot manufacturing process. Metaltec utilizes a unique casting process and is the sole North American manufacturer of its specific low-carbon shot offering.  The Company’s shot is longer-lasting and more efficiently manufactured, while its grit product is the highest quality abrasive material on the market.  Metaltec focuses on sales to small-to-medium sized accounts through a regional distributor network, and has an ability to service customers directly.  The products are utilized for ship building, steel bar drawers, pipe manufacturing and surface preparation, automotive and non-automotive foundries, farm implement manufacturers, forging industry, aluminum die casters, testing and engineering facilities, structural steel fabricators, automotive rebuilders and a number of other general industrial and infrastructure applications.

Miles & Stockbridge, P.C. acted as the legal advisor on this transaction.

 

Carthage Specialty Paperboard, Inc.

3rd Quarter 2014

Carthage is an existing portfolio company of Delta Point Capital, a Rochester, NY private equity firm. The historic Carthage paperboard mill is located on the banks of the Black River in the Adirondack North Country of New York state. The company was founded in 1904, and is proud to be the only secondary fiber mill in North America dedicated to serving a diverse range of markets from pulp-substitute specialty paperboard to industrial grade chipboards. Over 96% of Carthage’s paperboard products are made from 100% recycled products.

Carthage serves four primary end user markets: graphic art applications; cap closures for the pharmaceutical and food packaging industries; packaging for folding cartons and set-up boxes; and industrial for various other applications such as furniture, book covers, displays, and protective interior packaging. The Company is considered the North American industry leader in matboard and cap closures.

Patriot Capital co-invested with Pine Street Capital in Albany, NY to provide mezzanine capital to support DeltaPoint Capital’s recapitalization of Carthage.

Horizon Mud Company, Inc.

3rd Quarter 2014 Midland, TX

Patriot is pleased to announce a subordinated debt investment in Horizon Mud Company, Inc. (“Horizon”). Patriot’s investment helped facilitate Horizon’s purchase of the assets of Mud Masters Group, LLC (“Mud Masters”), a strategic vendor.

Horizon, a 30 year old company headquartered in Midland, TX, is a leading provider of fluid services to E&P operators in the Permian and Eagle Ford Basins. Mud Masters, located in Belle Chasse, LA, develops and manufactures patented, non-synthetic additives to drilling fluids that permit far wider usage of less expensive and more environmentally friendly water-based drilling mud systems in lieu of traditional oil-based mud systems. The two companies have worked closely together over the past year to continue to validate market acceptance of Mud Masters’ solutions. Mud Masters’ management team and staff will continue under Horizon’s ownership.

AAA Sales & Engineering, Inc.

2nd Quarter 2014 Oak Creek, WI

Patriot Capital provided subordinated debt and equity in support of Industrial Opportunity Partners’ acquisition of the production machining division of AAA Sales & Engineering, Inc. (“AAA”).

AAA, based in Oak Creek, WI, is a high precision production machiner for heavy-duty OEMs, providing other value-added services such as design, prototyping and complex assembly. The company was originally founded in 1968 and today focuses on the agriculture and industrial machinery end markets. AAA targets high volume production machined parts, primarily focusing on large, complex ferrous metal parts.

PCN Network, Inc.

2nd Quarter 2014 Pittsburgh, PA

Patriot is pleased to announce a subordinated debt and equity investment in PCN Network, Inc. (“PCN”). Stonewood Capital and its affiliates partnered with senior management and Patriot Capital to purchase the assets of PCN.  PCN’s previous shareholders will also continue to hold a minority stake in the business.

PCN is headquartered in Pittsburgh and provides services to lenders, title insurance underwriters and title agents in connection with real estate mortgage transactions.  PCN’s senior management will continue to lead the company in the growth of its business and the pursuit of new product lines.

Red River Waste Solutions

1st Quarter 2014 Dripping Springs, TX

Patriot Capital is proud to announce that it has partnered with the management team of Red River Waste Solutions to recapitalize the business and provide patient, long term capital in support of future growth. Patriot invested alongside Ironwood Capital in support of the existing management team, which will continue to run the operations post close.

Red River Waste Solutions is headquartered in Dripping Springs, TX and serves municipal, government, and commercial clients in seven states throughout the Southeast and Midwest. A family owned operation since its founding in 1953; Red River strives to partner with its clients to ensure that their waste hauling needs are being met in the most efficient manner possible. The Company’s emphasis on streamlined operations and continuous equipment maintenance helps minimize service disruptions and keep the communities that Red River serves clean.

McCubbin Hosiery LLC

4th Quarter 2013 Oklahoma City, OK

Patriot partnered with Guardian Capital Partners and the executive team of McCubbin on this transaction. The existing managers of McCubbin will continue operating the Company going forward. Headquartered in Oklahoma City, McCubbin Hosiery LLC (www.mccubbin.com) is a leading children’s and women’s hosiery platform with extensive distribution of branded and private label socks, tights, slippers, leg warmers and infant soft sole shoes. McCubbin offers a portfolio of hosiery for footwear brands, complemented by sales of its own label and private label product. The Company’s portfolio of licenses is exclusively focused on international brands including Stride Rite®, Keds® and Robeez®. McCubbin sells through department stores, mass retailers, warehouse clubs, specialty stores and e-commerce channels.

Orbital Tool Technologies

4th Quarter 2013 Roscoe, IL

Orbital Tool Technologies (“OTT”) is a single source supplier of quality in-house and on-site machining and welding services, shaft and journal repairs, fan shaft restoration and steam valve repairs for utilities and power generation clients throughout the United States. Century Turbine Repair (“Century”) provides inspection, repairs, and refurbishes stationary and rotating equipment maintenance services for steam turbines and related rotating equipment operated by major utilities, municipal power plants, and major industrial firms. The acquisition of Century will include a modern facility and highly trained staff with the expertise and capability to perform work on large turbine components (up to 50 tons in-house and 75 tons in the field), which will enable OTT to significantly expand its service offering from modifying and repairing spare parts and valves to providing turbine parts and repair services to very large steam turbine components. The additional service offerings will move the combined company from a Tier 3 to a Tier 2 supplier, opening it to new market opportunities.

ErgoGenesis

3rd Quarter 2013 Houston, TX

Patriot Capital is pleased to announce that it has partnered with Freestone Partners, LLC – Houston, Texas and management to acquire the assets of ErgoGenesis, LLC. Patriot Capital provided subordinated debt and equity in support of the acquisition. ErgoGenesis, formed in 1987 and based in Navasota, Texas, manufactures and markets premium-priced, highly customizable, ergonomic chairs and a full line of ergonomic workspace accessories. The Company’s products are designed to enhance posture, alleviate pain and reduce stress on the musculoskeletal system. ErgoGenesis’ flagship seating brand is BodyBilt, which is considered the premium brand by end-users, including Fortune 1000 corporations, government agencies and individual consumers.